The CSO file type is a method for compressing ISO image formats. Typically, it has been used as a means of compressing dumped PlayStation Portable UMD games to enhance portability. It is also utilized as a substitute means to the DAX compression method, which was then the previous compression standard for PSP games. The CSO; however, became more acceptable primarily because of the CSO compression method used by the homebrew program DevHook. With the CSO method, the user is now able to perform loading times that are much longer than the previous format. Programs capable of reading the CSO file extension are the PSP ISO Compressor and CISO Converter. The CSO file extension is also capable of being read due to the CSO tool 'OE' or open edition.

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The CSO file extension offers 9 levels of compression with the highest level capable of lengthy and slowed down loading times. This is made possible primarily because of the dummy files and partly because of the Universal Media Disc (UMD) data layout which both operate as an anti-piracy utility and allow the maximum lay-outing of files on the disc. On top of being utilized to compress PlayStation Portable UMD games, the compressed Sega Mega-CD ISO (Industrial Standards Organisation) formatted-disk images are also capable of being supported by the PicoDrive supports. However, a very high volume of compression may lead to the slowed loading of disk images.